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How students can get deposits back from landlords

Thursday, 2 June 2011 5:11 PM

This summer students at the end of their tenancy in a private property are likely to want their deposits repaid in full and in a timely fashion.

It is in the interest of both tenant and landlord to avoid a dispute, most of which arise over cleaning, damage, unpaid bills or rent. Fortunately, there are steps to help avoid problems.

With more than one million students renting in the UK the potential for disruption is widespread. However, the majority of tenancies end with no disagreement. Simple communication between students and landlords is without a doubt the most effective way to prevent a formal dispute.

Attending the checkout inspection will help tenants establish what, if anything, could lead to a deposit deduction.

After checkout students should seek to quickly establish with the landlord the proportion of the deposit to be returned. In some cases this could be less the cost of deductions resulting after the final checkout.

Once both parties agree, each must independently inform the deposit holder of the amount to be returned. This should trigger the deposit release and take no longer than ten working days.

Students unhappy with the amount their landlord proposes to return or those unable to reach an amicable agreement have three months to raise a formal dispute through Alterative Dispute Resolution (ADR), an alterative to the traditional route of taking the matter to court. However, both parties must agree to this form of resolution.

Since the introduction of deposit protection legislation in 2007, landlords are obliged to place deposits in an independent protection scheme. There are now three such government-approved schemes: MyDeposits, the Deposit Protection Scheme (DPS) and the Tenancy Deposit Scheme (TDS).

If a student is unsure where they stand or has queries about the deposit returns process during their tenancy, advice is available from the organisation holding their deposit.

Once entered, ADR schemes use an evidence-based process to decide who gets what. Students that keep their own evidence to back up claims – receipts, bills or photographs – are immediately placed in a stronger position. It is also worth noting that once the process is entered into, the adjudicator’s decision is final.

However, the tenant has no obligation to prove their argument in a dispute. The deposit remains their property throughout the process until it is successfully claimed by either party or divided accordingly. The landlord must prove he or she has, ‘on the balance of probability’, a legitimate claim to all or part of the deposit.

For more information on tenancy deposits, visit the government website Direct.gov.uk.

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